Daimler Trucks gathered analysts in Boston this week to release a series of business updates that are often punctuated by the phrase “in sunny weather.” The explanation was less a hedge against performance and more an explanation of how the world’s market-leading OEMs see the direction of their business.
CFO Jochen Goetz explained how the term came about.
“The rain, shine, shine analogy goes back to the first Capital Markets Day when we said, ‘We’re a circular industry.’ It’s obviously going to depend on what the market is going to do.”
a sunny day
On the bright side, therefore, Daimler forecasts increased revenues in its key markets of North America and Europe by 2030. 10% increase each. Brazil, up 20%. And India, he improved by a whopping 70% as the most populous country on the planet industrialized.
Likewise, the forecast for market share through 2030 remains positive. North America, from 40% today to 45% in 2030. India 8% to 14%. Japan is 23% to 25%.
Service revenue is expected to grow by 50% between 2025 and 2030, broken down by services and parts (60%), zero-emission vehicles (30%) and digital services (10%).
Self-driving vehicles that Daimler is developing through Freightliner, its independent subsidiary Torque Robotics and Waymo Via will contribute more than $3.6 billion in revenue in 2030, with pre-interest and tax income of more than $1.1 billion. is expected to be
“Sunny is basically what we see in our two core markets, North America and Europe,” said Goetz. “On the other hand, thanks to the fact that we are a cyclical industry, we are still very profitable even when it is raining or there is a thunderstorm outside.”
The weather has no bearing on Daimler’s plans to remain a leading player in the industry.
“We know exactly where we want to go,” CEO and Chairman Martin Daum said Tuesday after a two-hour presentation. “And there is a clear path to get there.”
Battery Replacement: A Timeless Idea, or Not?
A joint venture between Daimler Trucks and Beiqi Foton Motor of China will work with suppliers to replace the batteries of heavy-duty commercial trucks.
But don’t expect this to spread to other markets where Daimler operates.
“Globally, there is great potential for battery replacement in heavy-duty trucks,” said Andreas Gorbach, head of Daimler Trucks Technology, on the sidelines of Dymer’s Capital Market Day in Boston on Tuesday. I don’t think so,” he said. “It’s hard to say how big the relevance of swaps in China will be.”
of China’s Gasgoo website reported Fukuda Daimler and Oulton New Energy Vehicle Technology Co., Ltd. announced on July 6 that they have signed a strategic partnership to jointly promote the rapid implementation of a heavy-duty truck battery replacement project.
Fukuda Daimler will develop a vehicle model with replaceable batteries based on the GTL platform. Aulton offers the world’s leading battery replacement solution specifically for heavy duty trucks.
Founded in 2020, Foton Daimler produces engines under license for Auman supertrucks and Mercedes-Benz. Aulton holds over 3,000 worldwide battery replacement patents and related patent applications. A passenger car battery can be replaced in 20 seconds and a commercial vehicle battery in 40 seconds.
Gorbach said battery swapping could play a role in China. But forget that elsewhere.
“Business will need more assets. Who owns those assets?” he asked. “If you’re interested and can find a pension fund that can live on a 2% yield, that’s fine. But it’s not going to be a Daimler truck.”
Nikola sells factory land for financing
When Nikola reports earnings on Aug. 4, some may report higher-than-expected cash. A financially-strapped electric-truck maker and hydrogen-powered development company may report that it will benefit from the sale of the land on which its Coolidge, Arizona plant is located.
of The Phoenix Business Journal reported It was reported this week that a real estate investor acquired 394 acres of land in Coolidge from Nikola for $50.4 million, or about $127,708 per acre. The report cites Pinal County documents and the Vizzda real estate database.
Part of that land includes Nikola’s manufacturing base. Nikola signed a 99-year lease for the factory. The company paid $23 million for the land acquisition in 2019. We sold our headquarters in Phoenix earlier and entered into a leaseback agreement.
Nikola also needs to realize a $35 million gain from the sale of its 50% stake in a joint venture with European manufacturing partner Iveco.
These moves, along with the recent layoff of 270 employees, should help Nikola stay in business until Delaware’s regulatory changes allow it to double its authorized share count. Some of these new shares are pledged to pay interest on May 31 on a $200 million loan from hedge fund Antara Capital.
Nicolas declined to comment on the report, saying the topic would be addressed in the company’s second-quarter earnings report on Aug. 4.
Another contract signed for Nikola’s hydrogen truck
Separately, Nicola said on Thursday, Agreed to sell up to 50 hydrogen fuel cell trucks To BayoTech, a hydrogen production company. Nikola will then purchase up to 10 bulk hydrogen transport trailers and gaseous hydrogen from BayoTech’s hydrogen hubs in Missouri and California.
Nikola plans to start production of its Fuel Cell Electric Vehicle (FCEV) Torre in the third quarter. Prior to the deal with BayoTech, Nikola said it had 140 FCEVs on order. That includes a previous deal with Plug Power to replace zero-emission trucks with hydrogen extraction.
Nicola’s stock (NASDAQ: NKLA) closed 61% higher at $2.22 a share on Thursday, the highest since February. It climbed another 30% early Friday morning to $2.92. At June’s low, the stock traded at 52 cents and was in danger of being delisted from the Nasdaq. That threat vanished recently when the stock closed above $1 for 10 straight days.
Ride the Rizon electric truck for the first time
The third generation of Daimler Trucks’ Mitsubishi Fuso-based eCanter is the quietest and smoothest ever.
These are my impressions from a short drive through the parking lot of a former power station in Boston on Tuesday. The Rizon-branded Class 4 and Class 5 medium-duty trucks, which were unveiled in April, will begin production next month in Yokohama, Japan. They are expected to start arriving in the US in the fourth quarter.
“We feel the fleet is in an interesting position when it comes to decarbonisation,” Rizon sales and marketing manager Phil Barco told me. “On the one hand, they have an obligation to buy zero-emission trucks.
Rizon is Daimler’s way of expanding its electric truck offering. The battery-powered eCascadia covers class 8 and the eM2 covers class 6. Rizon will enable Daimler to focus on a growing number of legacy and start-up companies with a focus on pipe-emission zero equipment for pickup and delivery and regional transportation.
The Rizon electric model features whisper-like operation, alternating current (AC) charging, an automotive-style dash layout, shift-by-wire and an electronic parking brake in a market where some competitors are better suited to run on batteries. Differentiation can be achieved. Rizon runs along the production line.
That’s it for this week. thank you for reading.click here Get Track Tech by email on Friday. Catch Truck Tech on FreightWavesTV Wednesdays after 4pm EDT. YouTube.
Guest schedule for next week Roger Nielsen, retired CEO of Daimler Trucks North America. Nielsen recently became chairman of Protera, a battery and electric bus maker in which Daimler invested during his tenure as CEO. He also advises and sits on the board of several other mobility start-ups.
